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Associated Press
Oct 19, 2007
Retired Teachers To Get Bonus Check
(AP) AUSTIN Retired teachers in Texas may have a bonus pension check coming their way.
The Teacher Retirement System made the announcement Thursday after an actuary certified that a supplemental check for an amount equal to their normal monthly pay would be possible for eligible retirees.
The 13th monthly check still must be approved by the TRS board at their next meeting, Nov. 9. If approved, the check will go out in January.
The extra check was stipulated in legislation passed earlier this year, but was on the condition that certain financial requirements be met.
"We on the TRS board of trustees are pleased to have the opportunity to make this additional payment to our retirees," said board Chairman Jarvis Hollingsworth. "Without the Legislature's recent increase to the state contribution rate, and the system's outstanding investment performance for the fiscal year ending August 31, 2007, this extra payment would not be possible."
The current active member contribution rate of 6.4 percent will not be changed, despite legislative permission to do so in order to facilitate the bonus check.
State educator groups applauded the announcement.
"This issue really hit home with many of our active and retired members," said Jeri Stone, executive director for the Texas Classroom Teachers Association. "The benefit increase is possible because of legislative approval for a higher state contribution rate, an improved economy and sound management of the TRS fund. We will be monitoring the revised TRS investment strategy with an eye toward whether future and more permanent increases are viable."
About 250,000 retired teaches and school employees will qualify.
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